Kathmandu. KATHMANDU: Nepal Rastra Bank (NRB) has introduced a new system to provide relief to small and medium enterprises (SMEs). KATHMANDU: The central bank has brought some more provisions in the provision related to capital adequacy of small and medium enterprises (SMEs) in the unified directive issued to banks and financial institutions.
Loans to small and medium enterprises (SMEs) up to Rs 30 million have been fixed at 60 per cent risk. However, the Rastra Bank has put forward some conditions for this. For this, such small and medium enterprises should be in agriculture, IT or manufacturing sector.
Similarly, small and medium enterprises (SMEs) guaranteed by the Credit Deposit and Credit Guarantee Fund or secured with a minimum 25 percent margin on the fair market value of the land and building, will also be eligible for this facility. On the other hand, the Rastra Bank has put forward the condition that such projects should be under the insurance cover to get this facility. These provisions were not in the previous directive.
